Is there room in this industry for a company that provides insurance?

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  • Colonist
    SBR High Roller
    • 05-24-20
    • 203

    #1
    Is there room in this industry for a company that provides insurance?
    The biggest concern that a player dealing with offshore is getting paid. Let's face it. That trumps all. In reading about all of these sites that are designed to scam players out of cash, there may be room in this industry for insurance. A well known, reliable company (like an SBR) can investigate and vet the principals for books on their own. This company can guarantee a player balance (up to a max) by verifying that player funds are sitting in escrow or by whatever criteria that they are comfortable with. This proposed company can make money by having books pay them to give them their seal of approval. This seal approval would translate into instant credibility and increased revenue for the sportsbook. This proposed company could also work like a traditional insurance company and charge players a fee to guarantee their balance. There are several ways that this could work. The book would have to allow this proposed (reliable) company to decide all disputes and have it to be binding.

    You can certainly say that the SBR grading system somewhat applies many of these factors but it doesn't provide the guarantee.

    All I know is that I would deposit at a book that had this reliable, well known 3rd party assurance that my funds would be safe.
  • ChocMilk23
    SBR MVP
    • 11-04-17
    • 1924

    #2
    Or pay a high schooler to just make a new website and start all over... They are scam books for a reason...
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    • Vyasports
      SBR Hall of Famer
      • 01-27-19
      • 4946

      #3
      Originally posted by Colonist
      The biggest concern that a player dealing with offshore is getting paid. Let's face it. That trumps all. In reading about all of these sites that are designed to scam players out of cash, there may be room in this industry for insurance. A well known, reliable company (like an SBR) can investigate and vet the principals for books on their own. This company can guarantee a player balance (up to a max) by verifying that player funds are sitting in escrow or by whatever criteria that they are comfortable with. This proposed company can make money by having books pay them to give them their seal of approval. This seal approval would translate into instant credibility and increased revenue for the sportsbook. This proposed company could also work like a traditional insurance company and charge players a fee to guarantee their balance. There are several ways that this could work. The book would have to allow this proposed (reliable) company to decide all disputes and have it to be binding.

      You can certainly say that the SBR grading system somewhat applies many of these factors but it doesn't provide the guarantee.

      All I know is that I would deposit at a book that had this reliable, well known 3rd party assurance that my funds would be safe.
      you know BETFAIR ... charging players commission .... and yet we have a lot of complaints against BF...
      Comment
      • HeeeHAWWWW
        SBR Hall of Famer
        • 06-13-08
        • 5487

        #4
        This will inevitably happen in the crypto world when more gambling shifts there - several already exist for the defi/lending sector. Offline though ..... would be too expensive.
        Comment
        • Vyasports
          SBR Hall of Famer
          • 01-27-19
          • 4946

          #5
          Originally posted by HeeeHAWWWW
          This will inevitably happen in the crypto world when more gambling shifts there - several already exist for the defi/lending sector. Offline though ..... would be too expensive.
          Agrreeeee!!
          Comment
          • Optional
            Administrator
            • 06-10-10
            • 60756

            #6
            Maybe I am not thinking deeply enough about this, but my first thought is allowing a book to insure their funds against going broke or theft is too much like an incentive to scam.

            I think that's how traditional insurers would look at it anyway.
            .
            Comment
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